The telecommunications market in Austria can be divided into the following three areas:
- Carriers (operators of telecommunications networks)
- Service providers (providers of services, mobile virtual network operators)
- Suppliers (suppliers of telecommunications solutions, e.g. manufacturers of smartphones and components)
In addition to the products, systems, components and services offered directly by the industry, a considerable indirect value added also originates from the companies of the Austrian information and communication technology (ICT) sector. Thanks to the interconnection and digitalisation of all sectors of the economy, numerous other industries – from manufacturing and retail to the service sector – benefit significantly from innovations and technological advances in the ICT sector. The highly dynamic sector not only boosts employment within the sector itself, but also contributes to increased productivity and the international competitiveness of the Austrian economy.
In particular, the promotion and support of research and development (R&D) have a long tradition in Austria. The state offers various funding programmes, and companies consistently invest in innovation. This enables competitive solutions that are internationally recognised and supports technology transfer beyond national borders. Austria is therefore one of Europe’s pioneers in the field of digital transformation and the development of modern information and communication technologies.
The leading communications provider in Austria has more than 5.1 million mobile communication and 2.7 million landline customers and operates its own networks for mobile and location-bound telephony. The company is active in a total of seven countries in Central and Eastern Europe.
The example of the smartphone
An Austrian company supplies eight of the ten largest manufacturers of mobile phones with printed circuit boards. In particular the research and development work is done at the site in Austria. Production sites are located in Austria, China, India and Korea.
In Austria, there is also the competence centre for secure contactless identification systems of a globally active company. Wireless-based semi-conductors for RFID (Radio Frequency Identification), Smart Labels and/or Smart Tags, Smart Cards, NFC (Near Field Communication) and MIFARE are developed there. The NFC-ICs developed in Austria are used in smartphones and tablets. NFC components from Austria are contained in more than 150 end devices.
Miniature loudspeakers from the technology and global market leader from Austria ensure impeccable sound when using the telephone and playing music and videos. The most renowned manufacturers put their faith in loudspeakers from Austria in their products.
The Austrian know-how for light effects and lighting management facilitates the production of efficient devices with substantially improved rechargeable battery capacity. An Austrian company is the global market leader for light sensors and supplies almost all leading smartphone manufacturers. Research, development and production of these components come from Styria in the south of Austria.
Coating materials that are vital for the functioning of displays and system components for the production of semi-conductor layers are supplied by a company from Tyrol with production sites in ten countries.
The smallest loudspeaker in the world, which is based on the MEMS technology, comes from Austria. The company also produces amplifiers for NFC chips, gesture sensors and microphones that suppress analogue noise.
Security and responsibility
Providers of a technology via which a large part of the exchange of economic, political and also private data takes place have to place a particular focus on the security of their products, solutions and services. This responsibility is assumed by the Austrian companies in the industry through innovative developments.
The telecommunications industry makes a fundamental contribution to energy savings. It facilitates e.g. the intelligent control of electricity grids (Smart Grids) and reduces CO2 emission through the networking of mobility options or the possibility of virtual meetings.
However, the production, usage and disposal of telecommunications devices is also associated with considerable negative environmental effects. Whether it is the high consumption of energy and the burden on the environment during production, the power consumption in operation or losses in raw materials through improper recycling: The industry has huge potential for improvement in this area.
5G and the use of AI by businesses
The roll-out and increasing use of 5G is a major focus for businesses. The new technology enables significantly higher data rates, greater network capacity, variable and lower latency, and reduced energy consumption. In international comparison, Austria has recently stood out in particular for its above-average growth in the use of artificial intelligence (AI) within businesses. his technological foundation is giving rise to numerous innovations: applications such as virtual reality, self-driving cars, telemedicine and a ubiquitous Internet of Things (IoT) are able to fully leverage the advantages of 5G. These developments are opening up new business areas, advancing digitalisation and creating innovative markets with significant growth potential.